5 Reasons Why Installment Payment Is Good For Online Stores

There are times when we do not want to make a full payment for a product, especially when its price is high. If your store had an option to allow the customer to pay a deposit and the remaining in an installment, you stand a chance to motivate the customer to buy.

Another way of seeing this is to consider them as subscriptions. You sell a product for a minimal cost and receive the remaining payment at recurring intervals, say, for 6 months.

The collective idea is that you receive a deposit / initial payment and let your customer pay the rest later. Partial payment lets you do exactly the same. And a bit more. Earn customer loyalty by offering them flexible installment options. So here are five reasons why a partial payment option is good for your Joomla eCommerce online store.

  1. Easy Payment and Shopping Experience

    In a customer’s perspective, splitting a payment in parts is always a benefit. They can go for a purchase without having to think much about a lump sum payment. The customer enjoys a seamless shopping experience. One of the biggest concerns during any purchase is the product’s cost. When you offer an installment option, the cost concern is reduced considerably. Hence the customer stays happy throughout the shopping tenure.

  2. Increased Conversion Rate

    Conversion of potential customers into actual customers is not as simple as it sounds. Anything as trivial as a clean UI can be the main reason for a good conversion rate. Similarly, anything as trivial as a page layout can be the reason for a bad conversion rate. Adding installments in the payment options of your online store can help you gain more conversions as the customers are in for an easy way to purchase.

  3. Customer Stays In Touch

    A very important aspect to look at the installments payment is that it lets the customer stay in touch with you. After the purchase with an initial down payment or deposit, the customer still has to make payments to you and they remember you. Make use of it and ensure that the customer is reminded of not just the payment but also of the nice purchase experience.

  4. Attract Budget Buyers

    Buyers usually look for three things:

    • Best Price
    • Good Quality
    • Big products within budget

    While the first two depend on the product and market, the third one can be controlled by the seller. Payment in installments is all about attracting budget buyers. For instance, let us consider a person named Bob who wants to buy a Smart TV worth USD 700. If his average monthly expense is around USD 1000, he won’t spend $700 on a single commodity. He automatically looks for installment option which he can afford for a few months. Attract such budget buyers to your site by providing payment in installments regardless of whether or not you sell costly products. The gist is that you attract buyers when you split the amount payable.

  5. More Sales

    Giving installment option in payment lets you generate more sales. Simply put, more budget buyers = more sales. There are so many buyers like Bob who want to purchase costly products in installments, although the complete ownership may take a while. That is the tradeoff they are willing to make. For example, Partial Payments App for J2Store lets our customers enable installments into their store. Based on customer feedback, the app has helped them generate comparatively more sales.

J2Store Partial Payments

With Partial Payments plugin for J2Store, your customers can choose payment plans, with variable percentages and intervals configured by you. Some of the key features of the app to glance upon are:

  • Place a deposit
  • Make scheduled payments from the order history page
  • Intuitive checkout flow
  • Support for all payment methods (70+ gateways provided by J2Store)
  • Installments / Payment plans
  • Option to pay in full
  • Automatic payment reminders
  • Customize the reminder emails
  • Create partial payment order from the backend. For example, phone call orders.

Ask yourself, “Do I want my online store to be more customer friendly?”. If your answer is “Yes”, as it should be, then you totally need to try the partial payment out. Let yourself realize how important payment flexibility is for your store. You know what? Let us know too! The comment section is all yours!

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